Is there any insurance policy for mortgage?

There are insurance to pay off your mortgage in the event that you die. Most lenders will offer it to their customers. I got mine with wells fargo because that is who my mortgage lender is.

It almost like a life insurance policy.

Hi Ann,  I'm not sure I agree about MI being a complete waste.  Perhaps it depends on the actual Mortgage Protection Insurance product that you buy, but I was looking at voluntarily taking some out along with my life insurance.

It was cheaper than Income Protection insurance, and based on what your repayments are, not what your income is.  It also covered redundancy as well as inability to work due to illness or injury.

While I agree that the MI required by many lenders is generally solely for their benefit, that shouldn't take away from the fact that there are some genuinely useful products out there as well.